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1/
If I had any doubts about a #BMN involved JV, taking part on the DMRE Risk Mitigation tender, then they have now disappeared.
Here is a fascinating must read on the IFC's (International Financing Corporation) private sector proposal to support...
http://pubdocs.worldbank.org/en/708001608131403597/14526-South-Africa-RE-Grid-Integration-Program-Public-Final-Project-Document.pdf
If I had any doubts about a #BMN involved JV, taking part on the DMRE Risk Mitigation tender, then they have now disappeared.
Here is a fascinating must read on the IFC's (International Financing Corporation) private sector proposal to support...
http://pubdocs.worldbank.org/en/708001608131403597/14526-South-Africa-RE-Grid-Integration-Program-Public-Final-Project-Document.pdf
2/
energy storage take up, by offering concessional finance not currently available in the market, to enable bidders for the DMRE Risk Mitigation tender, to achieve parity with traditional thermal energy proposals.
A lot top take in but very important to understand.
energy storage take up, by offering concessional finance not currently available in the market, to enable bidders for the DMRE Risk Mitigation tender, to achieve parity with traditional thermal energy proposals.
A lot top take in but very important to understand.
3/
I have highlighted some key passages but the whole document is well worth a read.
The program seeks synergies with the World Bank backed Eskom BSP, with the goal to enable faster expansion across Africa (BMN core market), backed by further funding as it happens.
I have highlighted some key passages but the whole document is well worth a read.
The program seeks synergies with the World Bank backed Eskom BSP, with the goal to enable faster expansion across Africa (BMN core market), backed by further funding as it happens.
4/
The next one is a busy slide but my here's my key points.
Talks about "increased local (energy storage) capacity"..."including manufacturing of project components, and maintenance of systems, among other benefits."
The next one is a busy slide but my here's my key points.
Talks about "increased local (energy storage) capacity"..."including manufacturing of project components, and maintenance of systems, among other benefits."
5/
Key point.
"concessional funds for the Program will support private sector solar and wind generation projects with storage configurations, and will be structured in a way to clearly address and overcome the barriers that inhibit transformation."
Key point.
"concessional funds for the Program will support private sector solar and wind generation projects with storage configurations, and will be structured in a way to clearly address and overcome the barriers that inhibit transformation."
6/
This funding is being offered to all bidders on a sliding scale, dependent on their individual needs but only if they include a energy storage option.
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Its structured to overcome the barriers that inhibit a transformation that they state, that in Africa,
This funding is being offered to all bidders on a sliding scale, dependent on their individual needs but only if they include a energy storage option.
+
Its structured to overcome the barriers that inhibit a transformation that they state, that in Africa,
7/
needs batteries at its centre.
So Bushveld Energy, being S.A. based and focused on Africa, has a willing financier, who is prepared to lend at rates that remove any lasting cost parity issues.
"Set a precedent of successful projects."
Absolute gold dust.
needs batteries at its centre.
So Bushveld Energy, being S.A. based and focused on Africa, has a willing financier, who is prepared to lend at rates that remove any lasting cost parity issues.
"Set a precedent of successful projects."
Absolute gold dust.
8/
Further benefits very much include local employment and a desire to see a spill over effect of greater power distribution across Southern Africa, which of course will be enhanced by a localised energy storage sector's ability to export into then SADC, which means free trade.
Further benefits very much include local employment and a desire to see a spill over effect of greater power distribution across Southern Africa, which of course will be enhanced by a localised energy storage sector's ability to export into then SADC, which means free trade.
9/
So an established S.A. based energy storage sector, can export its products into 13 neighbouring countries (when local content +60%), without the need to pay import duties...
which means a cost advantage against any bidders coming in from outside of that union.
So an established S.A. based energy storage sector, can export its products into 13 neighbouring countries (when local content +60%), without the need to pay import duties...
which means a cost advantage against any bidders coming in from outside of that union.
10/
So we have front end bid related concessional finance, to establish a new S.A. based sector, that enables further concessional funded projects across Africa, which a localised industry, driven by that very concessional funding, will potentially have cost advantage over.
So we have front end bid related concessional finance, to establish a new S.A. based sector, that enables further concessional funded projects across Africa, which a localised industry, driven by that very concessional funding, will potentially have cost advantage over.
11/
Add to this the relationships that clearly exist between Bushveld Energy personnel and the likes of the World Bank.
Plus localised mining, beneficiation and of course the S.A. governments IDC:
Why wouldn't BMN be interested in that tender?
Add to this the relationships that clearly exist between Bushveld Energy personnel and the likes of the World Bank.
Plus localised mining, beneficiation and of course the S.A. governments IDC:
Why wouldn't BMN be interested in that tender?
